Antitrust Authority Takes on Bakery Cartel

The government’s antitrust watchdog has indicted several bakeries for colluding on prices.

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Maayana Miskin, 31/08/12 14:37

Bakeries accused of colluding on bread prices

Israel news photo: Flash 90

The government’s Antitrust Authority has filed indictments against several bakeries for allegedly colluding on prices. The Berman, Angel, Oranim, Davidovitz, Ahdut, Alumot, Merhavit and Deganit Ein-Bar bakeries were all listed among the accused.

According to the indictment, the CEOs of the bakeries met in February 2010 and agreed to avoid competition, and to work out a division of customers between their businesses.

In addition, they agreed to work together to get retailers to raise the price of regular white bread, the priceof which is regulated by the government.

The antitrust investigation began in May 2010. It included raids on bakeries and the arrest of some of the suspects.